⚖️ LOAN TYPES COMPARISON
Which SBA Loan Is
Right for You?
Side-by-side comparison of every SBA program — rates, limits, timelines, and who qualifies. Plus AI recommendation based on your specific situation.
7(a) Loans
504 Loans
Express Loans
Microloans
Community Advantage
Disaster / EIDL
Export Loans
📌 Quick Answer — Which SBA Loan to Choose
Working capital or general needs? → SBA 7(a) up to $5M. Buying real estate or equipment? → SBA 504 up to $5.5M, fixed rate. Need money fast (under $500K)? → SBA Express, 36-hour decision. Startup or underserved market? → SBA Microloan up to $50K or Community Advantage up to $350K. Affected by a disaster? → EIDL up to $2M at 3% directly from SBA. Selling internationally? → Export programs up to $5M. Scroll down for the full comparison and AI-powered recommendation.
All 7 SBA Loan Programs at a Glance
Click any program for details, then scroll down for the full side-by-side comparison.
SBA 7(a)
$5M
Most flexible · 640+ credit
SBA 504
$5.5M
Fixed assets only · 680+ credit
SBA Express
$500K
36-hr decision · Fastest
Microloan
$50K
Startups · Flexible credit
Community Advantage
$350K
Mission lenders · Underserved markets
EIDL / Disaster
$2M
Disaster-declared areas · Direct SBA
Export Loans
$5M
International sales · Export businesses
Full Side-by-Side Comparison
Every dimension that matters to SBA borrowers.
SBA 7(a) Most Popular |
SBA 504 Fixed Assets |
SBA Express Fastest |
Microloan Startups |
|
|---|---|---|---|---|
| Max Amount | $5,000,000 | $5,500,000 | $500,000 | $50,000 |
| Interest Rate | Prime + 2.25–4.75% Variable, ~9–11% today |
Below-market fixed ~6–7% CDC portion |
Prime + up to 6.5% Variable, ~11–13% |
8–13% fixed Set by intermediary |
| Repayment Term | Up to 25 years (RE) Up to 10 years (working cap) |
10 or 20 years (RE) 10 years (equipment) |
Up to 7 years (revolving) Up to 25 years (RE) |
Up to 6 years |
| Best For | Working capital, equipment, acquisitions, real estate, refinancing | Buying commercial real estate, heavy equipment & machinery | Smaller, fast-turnaround needs; established businesses | Startups, early-stage, underserved businesses |
| Min. Credit Score | 640+ | 680+ | 650+ | No hard minimum Varies by intermediary |
| Min. Time in Business | 2+ years preferred Startups considered |
2+ years required | 2+ years required | No minimum Startups welcome |
| Collateral Required | Required over $50K Not always deal-breaker |
Funded asset as collateral + personal guarantee |
Up to lender discretion Less strict than 7(a) |
May be required Intermediary decides |
| Approval Timeline | 30–90 days | 45–90 days | 36 hours decision 2–4 weeks to fund |
2–4 weeks |
| Down Payment | 0–10% typical | 10% borrower equity required | 0–10% typical | None typically |
| SBA Guarantee | Up to 85% (<$150K) Up to 75% (>$150K) |
40% CDC portion guaranteed | 50% guarantee Lower than standard 7(a) |
N/A — direct intermediary |
| Lender Type | Bank, credit union, or non-bank lender | Bank (50%) + CDC (40%) + you (10%) | Bank or non-bank lender | Nonprofit intermediary (CDFI) |
| Allowed Uses | Almost anything: working cap, equipment, RE, debt refi, acquisitions | Fixed assets only: real estate & major equipment | Working capital, equipment, RE (same as 7(a)) | Working capital, equipment, inventory, not real estate |
| Best Profile | Established biz, 640+ FICO, clear use of funds, 2+ yrs revenue | Profitable biz buying commercial property or $500K+ equipment | Quick-needs biz, under $500K, 650+ FICO, 2+ yrs biz | Startup, pre-revenue, or undercapitalized owner needing < $50K |
Specialized SBA Programs
Three additional programs designed for specific situations — underserved markets, disaster recovery, and international trade.
Community Advantage Mission Lending |
EIDL Disaster Relief |
Export Loans International Trade |
|
|---|---|---|---|
| Max Amount | $350,000 | $2,000,000 | $5,000,000 Intl Trade Loan |
| Interest Rate | Prime + spread Same as 7(a) |
3.04–3.75% fixed Well below market |
Varies by program Express: Prime + spread |
| Repayment Term | Up to 10 yrs (WC) Up to 25 yrs (RE) |
Up to 30 years | Export Express: 7 yrs Intl Trade: 25 yrs |
| Best For | Minority, veteran, women-owned biz in underserved markets | Businesses in federally-declared disaster zones | Businesses with documented international sales or export contracts |
| Min. Credit Score | Flexible — no hard floor Mission lender evaluates holistically |
620+ typical Direct SBA — more flexible |
640–680+ depending on program |
| Approval Timeline | 4–8 weeks | 2–3 weeks Disaster declaration required |
Export Express: 36 hrs Intl Trade: 30–60 days |
| Lender Type | CDFI, CDC, nonprofit mission lender | Direct from SBA — no bank needed | SBA-preferred export lender or bank |
| Key Restriction | Only available in underserved/low-income areas via CA lenders | Only in presidentially-declared disaster areas | Funds must directly support export activity |
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Frequently Asked Questions
What's the difference between SBA 7(a) and SBA 504?
The 7(a) is the most flexible SBA loan — it can fund working capital, equipment, real estate, acquisitions, or debt refinancing up to $5M. The 504 is specifically for major fixed assets (commercial real estate and heavy equipment) up to $5.5M, structured as a three-way split between a bank (50%), a Certified Development Company (40%), and your down payment (10%). 504 offers a below-market fixed rate on the CDC portion, making it ideal if you're buying a building or $500K+ equipment.
What is the fastest SBA loan I can get?
The SBA Express program offers the fastest turnaround — 36-hour approval decision. However, approval doesn't mean funded. Actual funding takes 2–4 weeks after approval. SBA Express tops out at $500,000. If you need money within days, SBA programs are not the right tool — look at non-SBA small business loans or lines of credit. Use SBA for planned capital needs.
Can a startup get an SBA loan?
The SBA Microloan is startup-friendly (no minimum time in business, flexible credit). For 7(a) and Express loans, lenders strongly prefer 2+ years in business. A startup with strong personal credit (700+), solid business plan, collateral, and relevant industry experience has a better shot than no-experience pre-revenue startups. Use our eligibility checker for your specific profile.
Which SBA loan has the lowest interest rate?
The SBA 504 loan typically has the lowest effective rate on the CDC portion — it's fixed and below market (historically 5–7%). SBA 7(a) rates are variable, tied to Prime Rate + a spread, currently putting most borrowers at 9–11%. SBA Microloans run 8–13% fixed. SBA Express rates are highest, reflecting the lender's lower guarantee (50% vs 85%).
Do SBA loans require collateral?
For 7(a) loans over $50,000, lenders are required to take available collateral — but lack of collateral alone won't kill a deal if other factors are strong. SBA 504 loans use the funded asset as collateral. SBA Express loans have lighter collateral requirements. Microloans may require some collateral but intermediaries evaluate holistically. A personal guarantee is required for owners with 20%+ equity in all SBA programs.
What SBA loan is best for buying equipment?
For equipment under $500K, SBA 7(a) or SBA Express work well. For major equipment over $500K (manufacturing, heavy machinery), the SBA 504 offers a fixed rate and longer terms specifically designed for large fixed assets. Note: 504 requires the equipment to have a 10-year useful life and the loan term can't exceed the asset life.
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